diff --git a/platform/core-impl/src/com/intellij/util/DocumentUtil.java b/platform/core-impl/src/com/intellij/util/DocumentUtil.java
index d24da8a3caef..6eb84897d985 100644
--- a/platform/core-impl/src/com/intellij/util/DocumentUtil.java
+++ b/platform/core-impl/src/com/intellij/util/DocumentUtil.java
@@ -29,8 +29,15 @@ public class DocumentUtil {
 
   private DocumentUtil() {
   }
-  
-  // TODO den add doc
+
+  /**
+   * Ensures that given task is executed when given document is at the given 'in bulk' mode.
+   * 
+   * @param document       target document
+   * @param executeInBulk  <code>true</code> to force given document to be in bulk mode when given task is executed;
+   *                       <code>false</code> to force given document to be <b>not</b> in bulk mode when given task is executed
+   * @param task           task to execute
+   */
   public static void executeInBulk(@NotNull Document document, final boolean executeInBulk, @NotNull Runnable task) {
     if (!(document instanceof DocumentEx)) {
       task.run();
diff --git a/platform/lang-impl/src/com/intellij/codeInsight/editorActions/PasteHandler.java b/platform/lang-impl/src/com/intellij/codeInsight/editorActions/PasteHandler.java
index c59007aa2643..a419d07e811d 100644
--- a/platform/lang-impl/src/com/intellij/codeInsight/editorActions/PasteHandler.java
+++ b/platform/lang-impl/src/com/intellij/codeInsight/editorActions/PasteHandler.java
@@ -28,6 +28,7 @@ import com.intellij.openapi.editor.*;
 import com.intellij.openapi.editor.actionSystem.EditorActionHandler;
 import com.intellij.openapi.editor.actionSystem.EditorActionManager;
 import com.intellij.openapi.editor.actionSystem.EditorTextInsertHandler;
+import com.intellij.openapi.editor.ex.DocumentEx;
 import com.intellij.openapi.editor.ex.EditorEx;
 import com.intellij.openapi.extensions.ExtensionPointName;
 import com.intellij.openapi.extensions.Extensions;
@@ -39,6 +40,7 @@ import com.intellij.openapi.util.TextRange;
 import com.intellij.psi.PsiDocumentManager;
 import com.intellij.psi.PsiFile;
 import com.intellij.psi.codeStyle.CodeStyleManager;
+import com.intellij.util.DocumentUtil;
 import com.intellij.util.IncorrectOperationException;
 import com.intellij.util.Producer;
 import com.intellij.util.containers.HashMap;
@@ -365,15 +367,23 @@ public class PasteHandler extends EditorActionHandler implements EditorTextInser
     }
   }
 
-  private static void reformatBlock(Project project, Editor editor, int startOffset, int endOffset) {
+  private static void reformatBlock(final Project project, final Editor editor, final int startOffset, final int endOffset) {
     PsiDocumentManager.getInstance(project).commitAllDocuments();
-    PsiFile file = PsiDocumentManager.getInstance(project).getPsiFile(editor.getDocument());
+    Runnable task = new Runnable() {
+      @Override
+      public void run() {
+        PsiFile file = PsiDocumentManager.getInstance(project).getPsiFile(editor.getDocument());
+        try {
+          CodeStyleManager.getInstance(project).reformatRange(file, startOffset, endOffset, true);
+        }
+        catch (IncorrectOperationException e) {
+          LOG.error(e);
+        }
+      }
+    };
 
-    try {
-      CodeStyleManager.getInstance(project).reformatRange(file, startOffset, endOffset, true);
-    }
-    catch (IncorrectOperationException e) {
-      LOG.error(e);
+    if (endOffset - startOffset > 1000) {
+      DocumentUtil.executeInBulk(editor.getDocument(), true, task);
     }
   }
 
diff --git a/platform/lang-impl/src/com/intellij/formatting/FormatProcessor.java b/platform/lang-impl/src/com/intellij/formatting/FormatProcessor.java
index 54a2ab6e1e14..6ef3916b343d 100644
--- a/platform/lang-impl/src/com/intellij/formatting/FormatProcessor.java
+++ b/platform/lang-impl/src/com/intellij/formatting/FormatProcessor.java
@@ -321,8 +321,9 @@ class FormatProcessor {
    *                              <code>false</code> otherwise
    */
   @SuppressWarnings({"deprecation"})
-  private boolean applyChangesAtBulkMode(final List<LeafBlockWrapper> blocksToModify, final FormattingModel model,
-                                         @NotNull CommonCodeStyleSettings.IndentOptions indentOption)
+  private boolean applyChangesAtRewriteMode(@NotNull final List<LeafBlockWrapper> blocksToModify,
+                                            @NotNull final FormattingModel model,
+                                            @NotNull CommonCodeStyleSettings.IndentOptions indentOption)
   {
     FormattingDocumentModel documentModel = model.getDocumentModel();
     Document document = documentModel.getDocument();
@@ -366,14 +367,13 @@ class FormatProcessor {
 
   @Nullable
   private static DocumentEx getAffectedDocument(final FormattingModel model) {
-    if (model instanceof DocumentBasedFormattingModel) {
-      final Document document = ((DocumentBasedFormattingModel)model).getDocument();
-      if (document instanceof DocumentEx) return (DocumentEx)document;
-    }/* else if (false) { // till issue with persistent range markers dropped fixed
-      Document document = model.getDocumentModel().getDocument();
-      if (document instanceof DocumentEx) return (DocumentEx)document;
-    }*/
-    return null;
+    final Document document = model.getDocumentModel().getDocument();
+    if (document instanceof DocumentEx) {
+      return (DocumentEx)document;
+    }
+    else {
+      return null;
+    }
   }
 
   private static int replaceWhiteSpace(final FormattingModel model,
@@ -1397,7 +1397,7 @@ class FormatProcessor {
         myResetBulkUpdateState = true;
       }
       if (blocksToModifyCount > BULK_REPLACE_OPTIMIZATION_CRITERIA
-          && applyChangesAtBulkMode(myBlocksToModify, myModel, myDefaultIndentOption))
+          && applyChangesAtRewriteMode(myBlocksToModify, myModel, myDefaultIndentOption))
       {
         setDone(true);
       }
diff --git a/platform/platform-impl/src/com/intellij/openapi/editor/impl/EditorImpl.java b/platform/platform-impl/src/com/intellij/openapi/editor/impl/EditorImpl.java
index f0b9fba78eef..fbed924fac7d 100644
--- a/platform/platform-impl/src/com/intellij/openapi/editor/impl/EditorImpl.java
+++ b/platform/platform-impl/src/com/intellij/openapi/editor/impl/EditorImpl.java
@@ -715,6 +715,7 @@ public final class EditorImpl extends UserDataHolderBase implements EditorEx, Hi
     myMousePressedEvent = null;
     myMouseMovedEvent = null;
     Disposer.dispose(myCaretModel);
+    Disposer.dispose(mySoftWrapModel);
     clearCaretThread();
 
     myFocusListeners.clear();
diff --git a/platform/platform-impl/src/com/intellij/openapi/editor/impl/SoftWrapModelImpl.java b/platform/platform-impl/src/com/intellij/openapi/editor/impl/SoftWrapModelImpl.java
index 2dcdb0caf56e..8f8627072794 100644
--- a/platform/platform-impl/src/com/intellij/openapi/editor/impl/SoftWrapModelImpl.java
+++ b/platform/platform-impl/src/com/intellij/openapi/editor/impl/SoftWrapModelImpl.java
@@ -16,6 +16,7 @@
 package com.intellij.openapi.editor.impl;
 
 import com.intellij.diagnostic.Dumpable;
+import com.intellij.openapi.Disposable;
 import com.intellij.openapi.application.Application;
 import com.intellij.openapi.application.ApplicationManager;
 import com.intellij.openapi.diagnostic.Logger;
@@ -52,7 +53,9 @@ import java.util.List;
  * @author Denis Zhdanov
  * @since Jun 8, 2010 12:47:32 PM
  */
-public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentListener, FoldingListener, PropertyChangeListener, Dumpable {
+public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentListener, DocumentBulkUpdateListener, FoldingListener,
+                                          PropertyChangeListener, Dumpable, Disposable
+{
 
   /**
    * Holds name of JVM property which presence should trigger debug-aware soft wraps processing.
@@ -109,6 +112,8 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
    * Current field serves as a flag that indicates if all preliminary actions necessary for successful soft wraps processing is done. 
    */
   private boolean myUpdateInProgress;
+  
+  private boolean myBulkUpdateInProgress;
 
   /**
    * There is a possible case that target document is changed while its editor is inactive (e.g. user opens two editors for classes
@@ -169,6 +174,8 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
     myUseSoftWraps = settings.isUseSoftWraps();
     
     editor.addPropertyChangeListener(this);
+
+    ApplicationManager.getApplication().getMessageBus().connect(this).subscribe(DocumentBulkUpdateListener.TOPIC, this);
   }
 
   /**
@@ -370,7 +377,7 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
   @NotNull
   @Override
   public LogicalPosition visualToLogicalPosition(@NotNull VisualPosition visual) {
-    if (myUpdateInProgress || !prepareToMapping()) {
+    if (myBulkUpdateInProgress || myUpdateInProgress || !prepareToMapping()) {
       return myEditor.visualToLogicalPosition(visual, false);
     }
     myActive++;
@@ -386,7 +393,7 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
   @NotNull
   @Override
   public LogicalPosition offsetToLogicalPosition(int offset) {
-    if (myUpdateInProgress || !prepareToMapping()) {
+    if (myBulkUpdateInProgress || myUpdateInProgress || !prepareToMapping()) {
       return myEditor.offsetToLogicalPosition(offset, false);
     }
     myActive++;
@@ -401,7 +408,7 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
 
   @NotNull
   public LogicalPosition adjustLogicalPosition(LogicalPosition defaultLogical, int offset) {
-    if (myUpdateInProgress || !prepareToMapping()) {
+    if (myBulkUpdateInProgress || myUpdateInProgress || !prepareToMapping()) {
       return defaultLogical;
     }
 
@@ -418,7 +425,7 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
   @Override
   @NotNull
   public VisualPosition adjustVisualPosition(@NotNull LogicalPosition logical, @NotNull VisualPosition defaultVisual) {
-    if (myUpdateInProgress || !prepareToMapping()) {
+    if (myBulkUpdateInProgress || myUpdateInProgress || !prepareToMapping()) {
       return defaultVisual;
     }
 
@@ -566,6 +573,9 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
 
   @Override
   public void beforeDocumentChange(DocumentEvent event) {
+    if (myBulkUpdateInProgress) {
+      return;
+    }
     myUpdateInProgress = true;
     if (!isSoftWrappingEnabled()) {
       myDirty = true;
@@ -578,6 +588,9 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
 
   @Override
   public void documentChanged(DocumentEvent event) {
+    if (myBulkUpdateInProgress) {
+      return;
+    }
     myUpdateInProgress = false;
     if (!isSoftWrappingEnabled()) {
       return;
@@ -587,6 +600,20 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
     }
   }
 
+  @Override
+  public void updateStarted(@NotNull Document doc) {
+    myBulkUpdateInProgress = true;
+  }
+
+  @Override
+  public void updateFinished(@NotNull Document doc) {
+    myBulkUpdateInProgress = false;
+    if (!isSoftWrappingEnabled()) {
+      return;
+    }
+    recalculate();
+  }
+
   @Override
   public void onFoldRegionStateChange(@NotNull FoldRegion region) {
     myUpdateInProgress = true;
@@ -619,6 +646,11 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
     return myDataMapper;
   }
 
+  @Override
+  public void dispose() {
+    release();
+  }
+
   @Override
   public void release() {
     myDataMapper.release();
@@ -632,6 +664,7 @@ public class SoftWrapModelImpl implements SoftWrapModelEx, PrioritizedDocumentLi
     myApplianceManager.reset();
     myDeferredFoldRegions.clear();
     myEditor.getScrollingModel().scrollToCaret(ScrollType.CENTER);
+    myApplianceManager.recalculateIfNecessary();
   }
 
   public SoftWrapApplianceManager getApplianceManager() {